Electricity, Water and Utilities

Impact of Endeavour Energy’s EBA (Package) Offer

Dear Members,

In brief, please see below the proper interpretation and impact of Endeavour Energy’s recent EBA Offer;

Job Security

  • Attacks on consultation clauses - NO more consultation just “Presentation and Implementing”.
  • Inability to dispute decisions of the Company if the Consultation Clause is agreed to.  You will be forced to accept all decisions as a rule.  We will not just ‘Grin and bear it’!
  • Substantially weaker Contracting Out/Labour Hire Clause – taking into account the impact of the above 2 dot points.
  • Job Security gone with forced redundancies able to be implemented at the whim of EnE;
    • Current VR Package NOT guaranteed – at discretion of Endeavour Energy.
    • NO job security once in Redeployment and a substantial reduction in Redundancy Packages under an Involuntary Redundancy:
      • MAXIMUM of 26 weeks (Notice Period) in Redeployment.  Which is included as part of the total 78 weeks capped payout, regardless of years of service if you are a long serving employee.
      • Effectively the involuntary redundancy payout is capped at 52 weeks (26 + 52 = 78wks).
    • No tax benefit on the “26 week Notice Period” component of the Redundancy Payout.


  • This will affect EVERYONE – office and field workers alike.  You can be FORCED OUT! And you can expect the MINIMUM entitlements. We cannot normalise INSTABILITY in the workforce.
  • Uncertainty around your shift start and finish times – Company can change with a weeks’ notice.


  • Make no mistake – this is a serious threat to your way of life:
    • If you have family responsibilities - YOU SHOULD BE CONCERNED!
    • If you have careers responsibilities - YOU SHOULD BE CONCERNED!
    • If you value stability in your day to day life - YOU SHOULD BE CONCERNED!

Wage Increase (a one-off 2.5% increase to the Base Hourly Rate)

  • 64% of employees under the EBA (who receive ESRA) will get an increase in their gross income of next to nothing with the removal of this allowance being paid as an “All Purpose” Allowance;
    • Based on a Linesman Grade 5 Current Wage Rate - Approx. $6.91 (gross) increase in your weekly wage (Excluding Super)
  • A Minimum Loss of $15,000 on Super Payouts for Defined Benefits Members with Full Points and 30 Year.

 Loss of $120 a Week when on Annual Leave, and
 Loss of $120 a Week when On Long Service Leave, and
 Loss of $26 a day On Sick Leave -  8hr Worker, and
 Loss of $26 a day if on Jury Duty -  8hr Worker, and
 Loss of $26 when on a REC Day or Public Holiday, and
 Loss of $6.66 an hour on double time overtime or $4.99 for time & half.
 Loss potentially for Apprentices on Leave of over 15% of their pay.

Even without these financial losses EnE are trying to buy your right to job security and workplace stability!

Other Conditions of Employment

  • You will no longer get the hours component on “Travelling on OT”.
  • For staff who receive ESRA, loss to your Current Entitlements of $3.33 an hour for every hour of leave in your leave balance (1000hrs= $3330).
  • Attack on the Long Serving Loyal Employees who are entitle to “Maturing Allowance”;
    • Freeze the entitlement to all (approx. 25% of EBA staff), and;
    • if you are over 55 years of age, then your frozen amount will not increase in value by CPI, unlike someone under 55 years of age – BLATANT DISCRIMINATION.
    • If you are under 55 years of age, you have NO ability to cash out…
  • CIC Shift Allowance - this should have been adjusted/rectified in the Agreement before the current EBA (As Per “Network Shiftwork Arrangements”).


Unions NSW will be holding a lunchtime Workers Compensation rally outside NSW Parliament on 4 November 2016 at 12:30pm

The rally coincides with public hearings for the first review of the 2012 workers compensation changes.

Unions NSW has made an extensive submission to the Law and Justice Committee painting a horrifying picture of the scale of the devastation wreaked by the changes to workers compensation: from suicides to soup kitchens and everything in between.

At the rally on 4 November 2016 we will be hearing from injured workers and highlighting the harsh impact of the 2012 changes on the injured workers of NSW and their families.

There will also be regional events:

Wollongong - 31 October 2016
Orange - 2 November 2016
Newcastle - 3 November; and
A date for an event in Lismore is being finalised.

By keeping the pressure on the Government about workers comp we have won significant changes including more than doubling the medical cap and reducing the threshold for lifetime cover among other changes. This rally is an important part of our plan to keep winning improvements to the scheme.

Sydney Event Details:
Outside NSW Parliament, Macquarie St Sydney
12:30pm on Friday 4 November 2016

Dear Colleague.

The Fair Work full bench has not yet handed down their decision on our agreement which will impact ETU members employed at Essential Energy.

The decision may be days or weeks away but the ETU want to ensure members are prepared when the decision is finally delivered.

The consultation provisions that will be included in any decision will mean that management have a consultative requirement to discuss with employees over any plans on major change and given managements vigorous arguments about sacking workers the company will be hoping and expecting to get rid of workers as soon as possible.

The obligation to consult means the company will be required to discuss changes with employees prior to taking any action and workers will be able to tell management that they want the ETU involved in any discussions, ETU members are strongly encouraged to tell the company they want the ETU involved at all times. If Essential Energy do not consult then they will be in breach of the workplace determination and the ETU will take the company to court, again!!  

Your new CEO, John Cleland, has said that regardless of the outcome he would not push people of a cliff, except for those workers already on redeployment,  and he would take a couple of days to figure out what he is able to do.

ETU members are advised to immediately contact the ETU if management approach them about any type of change within the organisation, including, but not limited to, any interpretation on redundancy. 

This will be a time where we will need to work through potentially difficult situations and the full extent of the exact provisions and entitlements in the workplace determination will require further explanation and discussion.

When the Full Bench do make their determination the ETU will provide updated information.  

In unity,
Steve Butler


Ausgrid Update - 26 October

Posted on 26-10-2016

Dear Colleague.

As you are aware Australian Super and IFM made a successful bid to purchase a 50.4% share in Ausgrid, the acceptance of the bid was reported in the media on Monday the 20th October 2016.

I am advised that the sale process will take another five weeks or so to complete putting the transfer date for the new owners at about the 24th November 2016.

I have been assured that meetings with the new owners will take place and we are awaiting a confirmed date.

The primary issues that the ETU are pursuing are the same as those we have been campaigning for with Ausgrid management and the NSW Government over the past two years and that is job security along with a degree of certainty for workers employed by Ausgrid.

Ausgrid management have briefed the Unions today on the immediate future and there is a lack of any concrete information and the only offering to come from the company today was that they will be intent on keeping everyone informed of the progress of the sale and that Q&A documents will be updated and provided.

Ausgrid have advised that they want to continue the negotiations around the administrative matters that are outstanding in the agreement but they cannot give any undertakings on any sign off and will be acting on instructions from the new owners.

Ausgrid have also indicated that at the completion of the sale a new board will be appointed and that the company will have to issue new representational rights letter to all employees covered by the enterprise agreement after the transaction is completed. The Union will seek advice on if the reissuing of representational rights letters is required for the bargaining to continue.

The combined Unions have requested a Union delegates meeting to enable delegates to provide feedback from workers and to be updated on what is going on.

Further detail will be provided as it comes to hand.

Yours in solidarity

Steve Butler

ETU Newcaslte Have Moved

Posted on 24-10-2016

The ETU office is Newcastle has relocated to the following address:

Hunter Workers Building
Suite 4B
Ground Floor
406-408 King Street
Newcastle West  NSW  2302

Phone, fax and email remain unchanged:

Phone: 02 4968 2488
Fax: 02 4968 3466
Email: etunewcastle@etunsw.asn.au

Yesterday the state government announced the 50.4% sale of Ausgrid for $16.189 billion. The government refers to this amount as “gross proceeds” which is code for; once we pay the debt down that we owe, the “net proceeds” to the public are a mere $6 billion. The buyer is a consortium consisting of IFM and Australian Super.

The transfer of a publicly owned monopoly asset in to private hands is never a good thing because inevitably the profit motive of a monopoly private owner results in higher prices and lower service and the loss of a revenue generating asset to the public. As private owners go – we could do worse than an Australian Super fund.

ETU Secretary Steve Butler has said that he understands the sale process will take another five weeks and during that time the ETU will be talking to senior IFM and Australian Super management. The ETU will be seeking a commitment from the new owners to honour the job security measures contained in the sales act legislation. These include the maintenance of the minimum mandated employee numbers, 5 year job guarantees for continuing employees and associated no forced redundancy provisions.
It is time for Ausgrid management to stop going down the path they have been on which is to contradict that legislation and introduce forced redundancies.
We will keep you informed of developments as they occur.
Power unions have demanded that the new owners of a controlling stake in Australia’s largest electricity distribution network, Ausgrid, commit to a legally binding agreement that ensures existing employment numbers and service standards are retained at the privatised business.

Their demand follow today’s announcement by NSW Premier Mike Baird and Treasurer GladysBerejiklian that AustralianSuper and IFM Investors would take 50.4 per cent ownership in the company, delivering a one-off windfall of $6 billion to NSW after debt is repaid.
The Electrical Trades Union and United Services Union, which represent the majority of Ausgrid workers, will also continue their work with Christian Democratic Party leader Fred Nile to deliver water-tight job protections through the NSW Parliament.
“We are continuing to work with Fred Nile and others in the NSW Parliament to ensure ironclad laws are in place to protect the jobs of Ausgrid workers and service standards for consumers under private ownership,” ETU secretary Steve Butler said.
“This process is particularly important given Ausgrid management have previously flagged their intention to test the legal standing of existing protections through the Fair Work Commission.
“We are also demanding that the new owners, AustralianSuper and IFM Investors, publicly commit to retain all existing workers, to abide by the five-year job guarantees negotiated by the parliament prior to this sale, and to maintain the high standard of service that Ausgrid customers
currently receive.”
USU general secretary Graeme Kelly said the unions would be writing to AustralianSuper and IFM Investors seeking an urgent meeting to discuss staff protections and the future operations at the company.
“Electricity distribution is a natural monopoly,” Mr Kelly said. “That means that if service standards drop, if maintenance is reduced or emergency response times blowout, consumers have no ability to choose an alternative supplier for their power.
“That is why unions have fought against this sale from day one, and why we will continue to fight to ensure the best possible outcome for workers and consumers going forward.
“Today’s announcement will not see us back away from our commitment to protect the jobs of our members and the services that Ausgrid provides to the people of NSW.”
Media comment: Steve Butler (ETU) 0414 877 679 / Graeme Kelly (USU) 0417 420 919

Notice To Member - EBA 2014 Update

Posted on 17-10-2016

At our last EBA meeting, held on Thursday 13th Oct 2016, Endeavour Energy tabled a revised “EBA Offer” as a “Package”. An outlined summary copy of this “Package” has been attached for your perusal, consideration and feedback to be provided to your workplace Delegate for a Joint Union FULL Delegates Meeting to be held at the Liverpool Catholic Club on Thursday 27th October 2016.

All feedback from the Delegates will be consolidated and this feedback will be the directions your EBA negotiating team will base a response to Endeavour Energy Management.

Throughout ALL these discussions, your elected ETU Negotiating Team has stood fast on the members endorsed positions, ie;

  1. NO TRADE OFF’s,
  2. JOB SECURITY, AND                                   None has been addressed

Please see the Outline of Endeavour Energy’s Proposal below. EnE are selling it under 3 items; “Efficient Competitor”, “Flexibility & Change” and “Matching Employee Numbers to Work Requirements”.

Efficient Competitor:

1.  3 year agreement expiring on 24 December 2017

2.  2.5% Wage increase effective from the date of a successful vote of the agreement being reached

3.  Freeze ESRA at $120.00

4.  Change ESRA to a flat allowance

5.  Freeze ELA at $32.80

6. Allow the Company to change employees start and finish time within the span of hours set out in the Enterprise Agreement, for up to 4 weeks by giving 1 weeks’ notice to meet customers’ needs

7. Change the overtime travelling allowance clause to only count extra travel distance only where travel required is more than the distance to their depot

8.  Place a salary cap on coverage of the Enterprise Agreement for contract employees (currently

$169,855 including superannuation)

9.  Preserve current conditions for contract employees who now fall under the EBA (and provide them with the 2.5% wage increase) via an appendix to the Agreement.

10. Freeze maturing allowance at its current value for all employees who are eligible.

a.    Employees over 55 will be allowed to cash out the frozen entitlement at any time

b.   Employees under 55 will have their frozen entitlement indexed until they are 55

11. Increase shift allowance for the Contact Centre to align with the payment levels of the Network    Shift Work Agreement

Flexibility and Change:

1.   Revise Consultation clause to:

a.   Require consultation when a decision is made not a proposal floated

b.   Focus on impacted employees and not necessarily require a committee

c.     Have no requirement for an agreement on a consultation plan

2.   Alter disputes clause to remove status quo after 5 working days if dispute not notified to FWC

3.   Revise outsourcing/contracting out clause to align with recommendations of FWC

Matching Employee Number to Work Requirements:


1. Voluntary Redundancy – where an employee elects to take a management approved voluntary redundancy or is able to take redundancy as a result of a management approved mix and match process they will receive:

a.    4 or 5 weeks’ notice depending on age and length of service;

b.    8 week redundancy incentive payment;

c.     2 weeks per year of service redundancy payment;

d.   Maturing allowance if applicable; and

e.   Legal entitlements to annual leave and long service leave.

Employees in these circumstances will not transfer to Redeployment before leaving

2.   Where an employee is in a position that is made redundant by the Company and they are in turn transferred to Redeployment the following will apply:

a.  They will be given an extended notice period of 26 weeks which will commence 2 weeks after

the date of the written notice of their transfer to Redeployment;

b.  Where the redeployee elects to leave prior to the end of the 26 week period they will be paid out the remaining balance of their extended notice period;

c.  In addition to any payment of the balance of the extended notice period they will get:

I.          2 weeks per year of service redundancy payment;

II.        2 weeks additional redundancy pay for an employee with less than 5 years’ service;

III.       Maturing allowance if applicable; and

IV.       Legal entitlements to annual leave and long service leave.

d.   The total payment for redundancy and extended notice will be capped 78 weeks’ pay;

e. The extended notice period will be paused where an employee goes on an approved secondment, so that any time a redeployee spends in a funded secondment position will not be counted as part of their extended notice period however, time spent in a meaningful work position, any period of leave or any other time will be counted as part of their extended notice period;

f.  The Company will pay a $2,000 training fund for each person in redeployment;

g.  If a permanent role is not found for the redeployee within their 26 week extended notice period they can be subject to forced redundancy with payment in accordance with 4 (c);

h.   Where an employee has been in redeployment for in excess of 26 weeks at the operative date

of the agreement they will have a notice period of 13 weeks

i.   In each of calendar years 2017, 2018 and 2019 we would set a cap of 20 people from

Redeployment who could be subject to forced redundancy under these arrangements;

j.   There would be no cap on forced redundancies from 1 January 2020 onwards;

k.  Employees currently in Redeployment at the effective date of the agreement will only be eligible for an extended notice period of 13 weeks.

l.   This would be implemented through a revised policy which would be included as an Annexure

to the Agreement.

There will be other variations required to the EBA to comply with the National Employment Standards, Fair Work Act and other minor changes. These have been discussed and relate to the following:

•  Compassionate leave (to include leave for a life threatening illness or injury)

•  Carer’s leave (to include leave for an unexpected emergency)

•  Absence benefit scheme (reference to NES prevailing if more beneficial)

•  Domestic Violence (a slight change to the contact people and their training)

Again, please provide your feedback to your local Delegate for the FULL Delegates Meeting, 27th Oct 2016, at Liverpool Catholic Club…starting at 10:00am. Please be there about 9:30am.

Ausgrid Update - 14 October

Posted on 14-10-2016

Dear Colleagues


Over the past few weeks we have had a series of meetings regarding EBA negotiations, which have been pre-occupied with attempting to fashion a better worded set of clauses to improve interpretation around overtime. The meetings have also discussed the subjects of the Agreement coverage cut off point for determining those who can be covered by the Agreement and the associated transition schedules. This issue largely affects people on senior contract who wish to move on to the Agreement. The meetings have also discussed allowances associated with qualifications for people who are covered by the Professionals Managers and Specialists Agreement. In terms of the bigger picture, to date we have not had any proposition by Ausgrid that indicates a way forward on resolving the inherent contradiction between Ausgrid’s position of forced redundancies and the 5 year job guarantees enshrined in the legislation. These 5 year job guarantees of course have consistently underpinned our fundamental position of no forced redundancies and will continue to do so.


“Reform affected” employees in the Hunter and Ourimbah regions will this week be informed as to whether or not they are identified as redeployees or retained as employees. Redeployees will have access to retraining and / or voluntary redundancy and so long as they are participating in that training and actively seeking work (both within and outside the organization) salary maintenance applies in accordance with the terms of the Ausgrid Agreement and the associated Redeployment and Salary Maintenance Policy. Remember – no one can be forced out because there are no forced redundancies. This is due to our success at the Fair Work Commission in stopping Ausgrid from successfully arguing that they could introduce forced redundancies.


I have been seconded in to an organising role for Unions NSW for a period of 4 weeks commencing Monday 17th November 2016. Ausgrid Delegate Anthony O’Sullivan will be performing my duties for this time. Anthony is an experienced delegate and has recently acted as Organiser for Endeavour Energy. During this time please direct all enquiries to Anthony and I will continue to liaise with him on ongoing matters requiring my attention. Please give Anthony as much support and assistance as possible during this time.

Anthony O’Sullivan's Contact Details:
Mobile: 0467 565 902
Email: anthonyo@etunsw.asn.au

In Unity,
0417 208 447 / markb@etunsw.asn.au

The Fair Work full bench HAS NOT yet handed down their decision on our agreement which will impact ETU members employed at Essential Energy. The decision may be days or weeks away but the ETU want to ensure members are prepared when the decision is finally delivered.

The consultation provisions that will be included in any decision mean that management have a requirement to consult with employees over any plans on major change, and given managements vigorous arguments about forced redundancy management will be hoping to get rid of workers should the Full Bench rule in favour of forced redundancy.

The obligation to consult means the company will be required to discuss changes with employees prior to taking any action and workers will be able to tell management that they want the ETU involved in any discussions, ETU members are strongly advised to tell the company they want the ETU involved at all times. If Essential Energy do not consult they will be in breach of the workplace determination and the ETU will take the company to court, again!!  

I have spoken to your new CEO, John Cleland, who advised that he has been well received by employees on his visits around Essential Energy depots.  Unfortunately my suggestion about jointly developing protocols around the workplace determination were dismissed.

ETU members are advised to immediately contact the ETU if management approach them about any type of change within the organisation, including, but not limited to, any interpretation on redundancy. 

I do not know what will be in the final workplace determination to be handed down by the Full Bench but I believe we should prepare ourselves for all possible outcomes, including those that may impact on some members. This will be a time where we may all need to work through an array of situations.

The full extent of the provisions and entitlements in the workplace determination will be further detailed once the determination has been handed down.

Over the coming weeks and months it is important for members to stick together and support each other, the ETU will continue to fight for the rights of our members.  

In Unity,

Steve Butler